DFI, CDC Float $60m Facility for African Private Credit Strategy
The effort, they said, is aimed at addressing a significant credit market dislocation and mid-market financing gap, a situation intensified by the Covid-19 crisis.
“However it marks the first fund investments under CDC’s African Private Credit Fund StrategyCommitment to help catalyse the growth of nascent asset class and support growth of mid-market companies across Africa, “they said.
Commenting on the deal the Managing Director & Head of Private Equity Funds, CDC, Clarisa De Franco, said: “We are proud to have made our first investments executed under CDC’s African Private Credit Funds Strategy. Our partnerships with Vantage Capital and BluePeak Private Capital support underserved businesses at a critical time.
“The investments are a testament to CDC’s pledge to play an anchoring role in the success and scale of Africa’s mid-sized companies through different instruments. In addition, we are confident that our partners will steward their investee firms to onward growth, generating favourable returns that will motivate commercial investors to invest in Africa’s nascent private credit market as we observe its rise as a promising asset class.”
Investment Director and Head of Intermediated Credit, CDC, Jo Fry, said their investments in Vantage Capital and BluePeak Private Capital present an opportunity to get capital to where it is most needed.